Companies & Sectors
Auditors deny signing audit report of C Mahendra Exports

RH Modi & Co in a newspaper advertisement denied signing the auditor’s report of listed company C Mahendra Exports for FY2015

 

Mumbai-based auditors RH Modi & Co have published an advertisement in local newspaper saying that the firm has not signed Auditors Report of C Mahendra Exports Ltd for FY2014-15. The company is listed on both BSE and National Stock Exchange (NSE). 
 
"C Mahendra Exports Ltd...have in complete illegal and malafide manner filed, uploaded and circulated the Annual Report with the financial results of the Company for the Financial Year 2014-15 and the Auditors Report dated 7th September 2015 purporting that the financial statements have been audited and Auditors Report signed by us," RH Modi & Co said in the advertisement.
 
According to the company's regulatory filing, it had filed its revised financial results for 31 March 2015 (Audited) on 5 September 2015. Within a fortnight, it filed Revised Audited Financial Results for the quarter and the year ended 31 March 2015. Both these filings are without auditors report. In fact, in both filings, the company had stated, "The above results were reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on 26 August 2015.
 
However, the company website displays its Annual Report for FY2014-15, including the Auditors Report. Modi & Co has however denied signing any such report. 
 
"...neither the financial statements for the year ended 31/3/2015 are finalised by us nor the purported Auditor's Report given in the Annual Report signed by us. Also despite our strong objections to the passing of the Company's accounts in their present form, the same have been passed by the Shareholders of the Company in the Annual General Meeting held on 26 September 2015," the audit firm says.
 
RH Modi & Co says it has sent several letters to the Company and concerned authorities, including NSE, BSE, Securities and Exchange Board of India (SEBI) and Registrar of Companies pointing out the gross irregularities and dishonest of the company.
 
However, according to a senior auditor, since they (RH Modi & Co) were appointed as auditors, they could have signed the report with all qualifications. 
 
In its revised financial results for 31 March 2015, the diamantaire and jewellery company had stated that its assets have been declared as non-performing assets (NPAs) by a consortium of bankers and have also freezed all working capital facility granted to the company. "Company's operating results have been materially affected due to various factors including non-availability of finance in view of the consortium bankers recalling the financial facilities granted, symbolic possession of premises have been taken by the Bankers," the statement says.
 
Further, it says, "There is ongoing dispute between the Promoters of the Company. However no financial adjustment is required to be made in the financial statement on account of this dispute."
 
As on 31 March 2015, promoters held 60.02% stake in the company. Second largest shareholders in the company at 13.15% were individual investors holding nominal share capital of up to Rs1 lakh. The promoters include Mahendra Chandulal Shah (14.92%), Kanu Chandulal Shah (8.53%), Champaklal Kirtilal Mehta (8.11%), Pravin Chandulal Shah (7.82%), Sandeep Mahendra Shah (5.69%), Suresh Kirtilal Mehta (5.31%), Prakash Kirtilal Mehta (3.81%), Paraskumar Champaklal Mehta (3.73%), Samir Pravinchandra Shah (2.01%) and Pravin Kirtilal Mehta (0.1%).
 
At 2.20pm Wednesday, C Mahendra Exports was trading marginally down at Rs2.20 on the BSE, while the 30-share benchmark was also marginally down at 27,294.
 

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COMMENTS

mm sundram

1 year ago

The company made several gross violations and wrongs but the RoC of Mumbai & Debi not had taken any kind of corrective action to protect the retail investors interest. Despite of repeated investors complaints the S,EBI & RoC not insisted any steps to protect. What is very interesting is the Debi allowed this company to issue bonus shares vety recently (1:1) and also was going to give permission to convert the preference shares into equity which are all stopped with my repeated complaints. Government authorities are not protecting the investors monies

REPLY

shanti Patel

In Reply to mm sundram 1 year ago

Mr. Sundram,

Please give your email id.Give email ids of ROC adn SEBI where you lodged the complains.
S.K.PATEL
Joint Hon Secretary-Bombay Shareholders Association

shanti Patel

1 year ago

In this country, you can not see any action from the regulators.The officers of the regulators are busy only to attend seminars and giving lectures.

The laws should be enacted to make them accountable and punishment for inaction on failure to act when they should act swiftly in the interest of various stakeholders.

S.K.PATEL
Hon.Joint secretary-Bombay Shareholders Association

HDFC Bank posts 20% growth in net profit

According to HDFC Bank, its gross non-performing assets (NPAs) were at 0.9 percent of gross advances as on September 30, 2015, as against one percent as on September 30, 2014

 

HDFC Bank closed the second quarter of the current fiscal with around 20% growth in net profit as compared to previous year's corresponding period, the private sector bank said on Wednesday.
 
The bank posted a net profit of Rs.2,869.45 crore for the period ended September 30, 2015, up from Rs.2,381.46 crore posted the previous year, the bank said in a statement.
 
The bank's total income for the quarter ended September 30, 2015, was Rs.17,324.28 crore - up from Rs.13,894.73 crore for the quarter ended September 30, 2014.
 
Net interest income (interest earned less interest expended) for the quarter grew by 21.2% to Rs.6,680.9 crore from Rs.5,511.0 crore the previous year driven by average assets growth of 29% and a net interest margin for the quarter of 4.2%, the bank said.
 
Total deposits were Rs.506,909 crore, an increase of 29.7% from the previous year.
 
Advances as of the quarter ended this year were Rs.418,541 crore, an increase of 27.9%  over September 30, 2014.
 
According to HDFC Bank, its gross non-performing assets (NPAs) were at 0.9% of gross advances as on September 30, 2015, as against 1% as on September 30, 2014.
 
The net NPA were at 0.2% of net advances as on September 30, 2015.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
 

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Bajaj Auto's Q2 net profit up 58%

According to a regulatory filing with the Bombay Stock Exchange (BSE), the company's total income grew by 2.25% in the quarter under review

 

Two- and three-wheeler major Bajaj Auto on Wednesday reported an exponential rise of 58% in its net profit for the second quarter of the current fiscal.
 
The company's net profit for the second quarter of the current fiscal stood at Rs.933.06 crore from Rs.590.90 crore registered during the corresponding period of last fiscal.
 
According to a regulatory filing with the Bombay Stock Exchange (BSE), the company's total income grew by 2.25% in the quarter under review.
 
The company's Q2 total income stood at Rs.6,097.78 crore from Rs.5,963.09 crore in the corresponding quarter of 2014-15.
 
Total sales for the quarter under review inched up marginally by 0.09% to 1,056,596 units from an off-take of 1,055,582 units during the second quarter of last year.
 
The company's EBIDTA (earnings before interest, taxes, depreciation and amortisation) margin for the quarter improved to 22.1% from 20.8% in the like period of 2014-15.
 
For the first half (H1) of the current fiscal, the company reported a rise of 46.35% in its net profit which stood at Rs.1,947.86 crore from Rs.1,330.88 crore registered during the corresponding period of last fiscal.
 
Total sales for the first half gained by 1.25% at 2,069,625 units from 2,044,012 units sold during the like period of 2014-15.
 
The company's H1 total income was higher by 4.42% and 11,711.27 units from 11,215.50 units sold during the like period of 2014-15.
 
The EBIDTA margin improved to 21.6% from 20.3% in H1 2014-15.
 
The company's scrip at the BSE gained 3.46% to Rs.2,522.60 around 2.15 p.m. from Rs.2,438.30 per equity.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
 

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